Following a funding round in 2023, Karl Abou Zeid is focused on expanding Fundbot’s embedded financing platform into a core layer of the Middle East’s financial infrastructure. The seed-stage startup helps banks and institutions deliver supply chain finance directly to SMEs, without the usual paperwork and payment delays. With 63% of the region’s 19 million SMEs facing late payments, Fundbot aims to ease working capital pressure while improving liquidity flows across the economy.
In this interview, Abou Zeid explains how Fundbot plans to scale from its Hub71 base, what he learned from raising in a tough market, and why hiring the right team has been his biggest win so far.
What drove you to join the startup world?
I was drawn to the startup world because I thrive in fast-paced environments where ideas turn into action. The startup world offers the kind of energy and challenge that keeps me motivated to build something from the ground up, solving real problems while working alongside passionate people.
Startups are unpredictable, demanding and incredibly rewarding. I was drawn to the opportunity to create, innovate and make a meaningful impact. What continues to push me towards greatness and what originally drew me into the world of entrepreneurship was that drive to turn vision into reality.
Why did you choose the Middle East as the place to start/expand the business?
The Middle East is undergoing a major digital and economic transformation, making it ideal for FinTech innovation. With governments across the region actively promoting FinTech and economic diversification, especially in the UAE, Saudi Arabia, and Bahrain, the region presents a thriving ecosystem for disruptive financial solutions.
Additionally, the MENA region is home to 19 million SMEs, with 63% facing challenges due to delayed payments. There is a clear need for smarter financial infrastructure, and Fundbot is bridging this gap through its embedded supply chain financing solution. We help financial institutions support businesses more effectively, unlock liquidity, and contribute to sustainable economic growth across the region.
Being a part of the Hub71 community in Abu Dhabi has enabled us to accelerate this mission. The ecosystem has given us access to a community of like-minded innovators, strategic partnerships, and market opportunities that align with our growth trajectory in the region.
How would you describe the region’s startup scene in three words?
– Dynamic
– Ambitious
– Constantly evolving
Is there something that has surprised you in your journey?
One of the biggest surprises in my startup journey is how quickly consumers embrace innovation, especially in the MENA. Having worked across multiple markets, I’ve seen firsthand how eager and curious people are to try new solutions. It creates a
Unique environment where fresh ideas gain traction fast, making it a great place to build and scale innovative products.
What are (in your view) the keys to approaching investors successfully?
- Referrals: Warm introductions go a long way in establishing initial trust with investors, and being part of a strong network within the startup ecosystem can open valuable doors.
- Building Credibility: Investors look for founders with a track record of execution. Demonstrating past successes, deep market knowledge, and a clear vision helps establish confidence.
- Good Relationships & Value Alignment: Fundraising is not just about pitching; it’s about long-term relationship-building. Engaging with investors before actively seeking funding and keeping them updated on business milestones creates a sense of trust. Beyond that, ensuring alignment in values and vision is crucial. The right investors bring more than just capital, they offer strategic guidance and a shared commitment to the company’s mission.
What was the most challenging part of raising funding and how did you overcome it?
We raised in 2023, right in the middle of a funding downturn in the MENA region. The biggest challenge was the extended time it took to close the round, investors were more cautious and deals moved slower than usual. The key to overcoming this was ensuring that we had enough runway to sustain operations throughout the process. By maintaining financial discipline, we were able to stay afloat and successfully close the round despite the challenging environment.
What is the best piece of financial advice you have received?
- Revenue from customers is the strongest validation of a business model
- Investors and external funding can help scale a business, but real proof of sustainability comes from paying customers who see value in your product or service.
- Capital efficiency is key in today’s environment
- Businesses need to be disciplined with spending, focusing on sustainable growth rather than burning cash for short-term gains.
What has been your biggest success and your biggest failure?
Success: One of my proudest achievements has been assembling an efficient and dedicated team. Over the past five years, we’ve had zero percent turnover, which reflects the trust, culture, and shared purpose we’ve cultivated. This team has been instrumental in delivering highly effective and complex solutions to our clients’ evolving and pressing needs, proving that the people behind a company are the key to its success.
Failure: In my previous startup, I focused too much on growth at any cost, overlooking the importance of strong margins and unit economics. While rapid expansion seemed like the right move at the time, it ultimately led to challenges that could have been avoided with a more sustainable approach.
What is the best quality a leader can have?
Humility. As Robin Sharma says, “The thing about great masters is that they always think like beginners.” A humble leader stay open to learning, value every voice in the room, and , and foster a culture where collaboration thrives. When leaders lead with humility, they inspire others to stay curious, constantly improve, and work toward greatness.
Where would you like to be in 5 years’ time?
In five years, I hope to see our company continue to grow, creating a lasting impact in the industries we serve. We want to be at the forefront of innovation, expanding our solutions to new markets while maintaining a strong, purpose-driven team.
Beyond growth, we aim to drive greater financial inclusion by contribute to expanding access to financing for SMEs and underserved communities. Our goal is to help banks and financial institutions deploy capital at scale, manage risk more effectively, and unlock trapped liquidity, so that businesses of all sizes can thrive.
The people of our region deserve solutions that unlock opportunity. We are committed to building those solutions and doing our part to power long-term, inclusive economic growth.
